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Gann Method chart analysis showing secrets of calculating time and price for effective trading strategies

Gann method – The secrets of calculating Time and Price

In the world of financial markets, the name W.D. Gann (William Delbert Gann) stands as one of the most powerful figures in trading history. The methods he developed are still used by many successful traders today. Gann’s approach to trading carries such depth that, both in his era and even now, it is difficult to find an equal to the principles he established.

Childhood and Early Steps

William Delbert Gann was born on June 6, 1878, on a small farm located seven miles from the town of Lufkin, Texas. The eldest of eleven children, William grew up in a poor family. Living with his parents in a modest house, Gann had to walk seven miles each day to attend school. The family’s entire income depended on planting and selling cotton, so young William experienced first-hand the excitement and tension caused by changes in market prices. These early years shaped his discipline and way of thinking.

During his youth, although he helped his father as a farmer, he was already drawn to the world of business. His early interest in trade led him to a brokerage office in Texarkana, where he gained his first financial experience. Later, he moved to New York and in 1908 founded his own brokerage firm, “W.D. Gann & Co.”

A Unique Path to Success

Gann’s view of trading was different from that of others. He did not analyze market prices based solely on economics and news; instead, he studied the mathematical relationship between price and time. This approach allowed him to predict both the end of a trend and the precise entry and exit points with remarkable accuracy.

The power of these methods was proven by real results: over 25 years, Gann executed 282 trades and succeeded in 264 of them. In 1933 alone, he carried out 479 operations, of which 422 were profitable and only 57 ended in loss, with his capital achieving an approximate 4000% return. These figures are not merely statistics—they are proof of the strength of his methodology.

Predictions and Historic Achievements

Gann was not only able to assess current market conditions, but also to foresee major future movements. For example, during World War I, in November 1918, he predicted that Kaiser Wilhelm would abdicate and that the war would soon end. In December 1921, he forecast that the “bull” wave in stocks would end in 1922, and this prediction came true with full accuracy. He even announced in advance that stocks would reach a peak on October 14 and then fall by 10 points within the following 30 days.

These forecasts were far from random. Gann relied on natural laws and used complex calculations based on geometric figures such as circles, squares, and triangles, as well as the harmony of time. These methods remain relevant today in forex and other financial markets.

A Philosophical Approach

Gann was not only a master of technical analysis but also a deep-thinking philosopher. He emphasized that success is achieved not merely through trading skills, but through years of continual refinement:

“…all true professionals—judges, engineers, jewelers, and other fields that demand knowledge—spend years learning and perfecting their craft before they begin to earn money from it…”

These words perfectly describe Gann’s own journey. He was not just a trader but also a great researcher who combined the mathematical and psychological aspects of the financial markets.

William Delbert Gann remains a unique figure in market history. His methods transcended the boundaries of his time and continue to serve as valuable tools for traders today. By uniting the harmony of time and price through mathematical formulas, Gann elevated the art of “seeing in advance” in the financial markets to its highest level.

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